In the wake of the collapse of one of the world’s largest cryptocurrency exchanges, FTX, senators in the United States have doubled down on their commitment to passing legislation for the crypto industry.
Senators Call for Finalizing DCCPA
Amidst the FTX collapse, Debbie Stabenow, the U.S. Senate Agriculture Committee chair, has reiterated the importance of finalizing the Digital Commodities Consumer Protection Act 2022 (DCCPA). She tweeted;
I am working closely with Ranking Member Boozman, our Committee members, and financial regulators to finalize and prepare this legislation for a Committee vote.— Sen. Debbie Stabenow (@SenStabenow) November 11, 2022
Senator Stabenow tweeted that the recent collapse of FTX reinforces the urgent need for “greater federal oversight” of the crypto industry. She added that she was working with Senator John Boozman to finalize the DCCPA.
Protecting the Customers
Senator Stabenow has called on Congress to act fast because consumers are “harmed by the lack of transparency and accountability in this market.” She also called on financial regulators to use their current authorities “to the fullest extent to regulate and prosecute misconduct in these markets.”
The DCCPA bill, when passed, will give power to the Commodity Futures Trading Commission (CFTC) to regulate the trading of digital commodities. On Thursday, Senator Banking Committee Chair Sherrod Brown called for an investigation into the collapse of FTX.
On the Flipside
- Sam Bankman-Fried, the founder of the beleaguered FTX exchange, had backed the bill before the liquidity crunch happened.
Why You Should Care
The DCCPA bill looks to protect customers by introducing necessary safeguards to the cryptocurrency trading market.
Read about FTX’s investigation below:
US Justice Department and SEC are Investigating the FTX Crisis
Get the latest update in the FTX saga below:
Bankman-Fried Apologizes for FTX (FTT) Crisis, Says Alameda Research Is “Winding Down Trading”